There is a lot of expectations from the new RBI governor Urjit Patel. Urjit Patel will announce his first monetary policy on Tuesday, which will also mark a historic shift to a Monetary Policy Committee, which will be tasked with setting the interest rates from now on.

While certain experts expect the RBi to lower interest rates by 25 basis points in the wake of easing inflation in August and the expectation that food prices will only ease going ahead thanks to a bumper crop, there are others who are of the opinion that the central bank will maintain status quo and go for a rate cut later in December, closer to the US Federal Reserve’s interest rate decision.

Bankers like Bank of Maharashtra Managing Director and Chief Executive R P Marathe and Union Bank of India Chairman and Managing Director Arun Tiwari, said they didn’t expect RBI to cut rates in the current monetary policy.

Another change that the October 4 monetary policy will bring about is the timing of the policy announcement. From now on, the RBI monetary policy review announcement will take place at 2:30 pm instead of the usual 11:00 am. The RBI Governor will then address the press from 2:45 pm to 3:15 pm.

The MPC, which is chaired by the RBI Governor, begin its two-day deliberations on Monday, to consider various factors like inflation, credit offtake and the need to propel growth, foreign trade and global economic factors, a PTI report said. The second meeting will be held today, follwoed by the policy announcement.